Lifespan, a leading healthcare system in Rhode Island, has been announced as the winning bidder to purchase Saint Anne’s Hospital in Fall River, MA, and Morton Hospital in Taunton, MA, both owned by Steward Health Care System, LLC, a for-profit corporation based in Dallas, Texas.
Lifespan has agreed to assume the Saint Anne’s and Morton Hospital operations. In addition, Lifespan is purchasing the land and the buildings used by these two hospitals. The purchase price for the hospital operations, land and buildings, which would be debt financed, is $175 million, with most of the money going toward the land and buildings. In addition, Lifespan is finalizing an agreement to receive modest support from the Commonwealth of Massachusetts for a limited timeframe, to support hospital operations.
If the sale is approved, Saint Anne’s Hospital and Morton Hospital would be owned by Lifespan of Massachusetts, a non-profit organization which is a wholly owned affiliate of Lifespan. Both hospitals would benefit from the expanded collaboration and system efficiencies such as a shared electronic medical record.
“I am confident our team has the experience and know-how to rebuild the infrastructure of these two hospitals and operate them as successful and thriving not-for-profit organizations,” said Lifespan President and CEO John Fernandez. “Adding Saint Anne’s and Morton hospitals creates a unique opportunity to build our regional healthcare organization that will benefit the health of the communities in both states. I want to thank all the physicians, nurses and all the employees of these two hospitals who continue to care for patients during this very difficult time. If we are successful in completing this transition, I and the entire Lifespan team look forward to working with you to rebuild the infrastructure of these important community assets and to help stabilize the environment and the workforce. We look forward to working closely with the Commonwealth of Massachusetts and other state agencies and federal authorities to ensure that the patients served by these two institutions receive the exemplary care that they deserve.”
Note: The sale remains subject to various contingencies, including court approval, state and federal regulatory approvals, and the satisfaction of various sale contingencies enumerated in the asset purchase agreement filed with the Court today.